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Cosan-Shell Deal Expands Global Penetration Outlook for Brazilian Ethanol, Says Brazilian Sugarcane Industry Association
Date:2/1/2010

SAO PAULO, Feb. 1 /PRNewswire-FirstCall/ -- The joint venture announced today simultaneously in Sao Paulo and London involving Brazilian ethanol group Cosan and Royal Dutch Shell increases prospects of an expanding global presence for Brazilian sugarcane ethanol. The assessment came from Brazilian Sugarcane Industry Association (UNICA) President Marcos Jank.

In his view, the deal brings together two companies that are strongly complementary: "The partnership generates scale, efficiency and technology, all of which certainly contribute to gain access for Brazilian ethanol to global markets and overcome protectionist obstacles that still hinder its growth," Jank commented.

The President of UNICA was pleased with comments regarding the qualities of Brazilian ethanol, made by Shell officials during the news conference: "They stressed that they consider Brazilian ethanol as the biofuel that contributes the most to greenhouse gas emission reductions, as well as being the most efficient, sustainable and commercially viable in the world. It is important to highlight that not only Shell, but several other global companies doing business with the Brazilian sugar and ethanol industry, no longer have any doubts about these aspects when discussing the ethanol produced here."

According to UNICA, with the involvement of Iogen, a world leading biotechnology firm specialized in cellulosic ethanol, and Codexis, a leading developer of clean biocatalytic process technologies -- both subsidiaries of Shell, the agreement also has the potential to promote advancements in the development of second generation ethanol from sugarcane biomass. "The way forward for our industry includes the expanding use of new technol
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SOURCE Brazilian Sugarcane Industry Association
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